MV Electrosystems Listing: Shares List At More Than 22% Premium Over IPO Price

MV Electrosystems made a solid stock market debut on 6 August, with its shares listing at over 22% premium over the initial public offering (IPO) price. The stock was listed at ₹519 apiece on the Bombay Stock Exchange (BSE), a premium of 22.12%.

On the National Stock Exchange (NSE), MV Electrosystems shares got listed at ₹520 apiece, a premium of 22.35%. The MV Electrosystems IPO listing followed the general time when companies get listed on exchanges, which is normally 10 am.

MV Electrosystems Limited IPO Subscription

The MV Electrosystems Limited IPO was subscribed 188.85 times at the close of bidding on 3 August. The retail investor portion was booked 205.42 times, while the non-institutional investor (NII) segment was subscribed 374.58 times. The qualified institutional buyers (QIB) quota received 90.47 times the subscription.

The IPO comprised a fresh issue of 68 lakh equity shares, with no offer-for-sale (OFS). The price band was fixed at ₹400-425 per share.

Investors could bid for a minimum of 34 shares. They needed an investment of ₹14,450 at the upper price band. Retail investors were allowed to apply for up to 13 lots, amounting to a maximum investment of ₹1,87,850.

Use Of IPO Proceeds

The company plans to use the net proceeds to meet its long-term working capital needs, fund the research, design and development of new power electronic equipment, and for general corporate purposes.

Sundae Capital Advisors Private Limited was the book-running lead manager for the issue, while KFin Technologies Limited served as the registrar.

About MV Electrosystems

MV Electrosystems is a technology-driven company. It is engaged in the design, development, assembly and manufacturing of electrical and power electronics equipment for railway rolling stock.

Its product portfolio includes indigenous insulated gate bipolar transistor (IGBT)-based three-phase drive propulsion systems for electric locomotives, switchgear panels for railway coaches and electric multiple units (EMUs), cable protection and management products, and other electrical systems and sub-systems.

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